Banking

LONDON (Capital Markets in Africa) – New research from Crown Agents Bank has found that there is a strong appetite from UK companies to step up their presence in Africa, with 69% of those surveyed planning to expand their footprint in the continent following Brexit. The bank, which is a UK regulated provider of wholesale FX and cross-border payment services, asked 200 decision makers from businesses that trade in frontier markets about their perceptions around…

LAGOS (Capital Markets in Africa) — Royal Dutch Shell Plc and seven banks accused one of Nigeria’s largest oil producers of defaulting on loan repayments that stand at more than $900 million and are locked in a court battle to reclaim the money, legal documents show. The previously unreported impasse stems from a deal that Aiteo Eastern E&P Co. did six years ago to purchase a major interest in one of the nation’s most prized oil blocks…

LAGOS (Capital Markets in Africa) — The Central Bank of Nigeria kept its key policy rate unchanged at 11.5% at its March meeting, as was widely expected. The decision reflects the committee’s desire to strike the right balance between support for the economy and the need to contain the country’s rising inflation pressures. Governor Godwin Emefiele also confirmed the devaluation of the naira but rejected claims the CBN had moved to a flexible exchange rate…

NEW YORK (Capital Markets in Africa) — The International Monetary Fund’s board conveyed broad support for drafting a proposal to create $650 billion in additional reserve assets to help developing economies cope with the pandemic, with an eye on considering a formal plan by June. The institution’s executive board discussed the case for the reserves informally on Tuesday, IMF Managing Director Kristalina Georgieva said in a statement after the conclusion of the meeting. Fund staff will develop…

NEW YORK (Capital Markets in Africa) — Jerome Powell has a goal that is bigger than the bond market’s near-term inflation concern. In perhaps his most forthright press conference since taking the helm of the central bank three years ago, the Federal Reserve chair this week laid out three critical messages for investors who have been propelling bond yields higher on the bet inflation would eventually force his Fed to tighten monetary policy faster than…